Unico Reports Q3 Financial Results

Unico American Corporation (Unico) has announced its financial results for the third quarter ended September 30, 2009.

In the third quarter ended September 30, 2009, the revenues were $10.3m and net income was $0.6m ($0.11 diluted income per share) compared with revenues of $11.5m and net income of $1.4m ($0.26 diluted income per share) for the quarter ended September 30, 2008. The decrease in revenues was primarily the result of lower investment income and reduction in premiums earned.

The net premium earned was $7.8m or 75% of total revenues in the quarter ended September 30, 2009, compared to net premium earned of $8.4m or 73% of total revenues in the quarter ended September 30, 2008. The decline in net earned premium was primarily a result of a decline in sales. The decline in sales was primarily due to increasingly-intense price-based competition.

The total insurance company revenues in the quarter ended September 30, 2009, were $8.9m or 87% of total revenues, compared to total insurance company revenues of $10.0m or 87% of revenues in the quarter ended September 30, 2008.

For the nine months ended September 30, 2009, the revenues were $31.5m and net income was $2.3m ($0.42 diluted income per share) compared with revenues of $35.6m and net income of $3.2m ($0.56 diluted income per share) for the nine months ended September 30, 2008.

The Net premium earned was $23.2m or 74% of revenues for the nine months ended September 30, 2009, compared to net premium earned of $25.9m or 73% of revenues for the nine months ended September 30, 2008.

The total insurance company revenues were $27.2m or 86% of total revenues in the nine months ended September 30, 2009, compared to total insurance company revenues of $30.9m or 87% of revenues for the nine months ended September 30, 2008.